The sports industry is still analogue – but that’s about to change

From the Gameday Podcast – powered by NJF Holdings, founded by Nicole Junkermann

For all the global attention and capital flowing into sport, much of the industry still operates in surprisingly analogue ways.

That was one of the central themes of a conversation Gameday’s Kike Levy had with Samuel Westberg, founder of sports innovation advisory firm Lassource, on the Gameday podcast recorded at the World Football Summit in Riyadh. His message was simple: the sports industry talks constantly about digital transformation, but in practice many clubs and governing bodies remain slow-moving, relationship-driven organisations that struggle to absorb new technology.

That disconnect often catches entrepreneurs and investors by surprise. Sports technology startups regularly arrive with strong products and ambitious growth forecasts, only to discover that sport isn’t a conventional market. Sales cycles are long. Decision-making depends heavily on trust and personal networks. And the adoption of innovation can take years rather than months.

Westberg has seen that challenge from multiple angles. After beginning his career working at Paris FC, he moved into sports technology entrepreneurship before founding Lassource to help bridge the gap between emerging tech companies and the sports organisations they hope to serve.

The core problem, he argues, is translation. Technology companies often speak the language of engineering and product development, while sports executives operate within a culture shaped by competition, tradition and relationships. Someone needs to translate between those two worlds.

In many cases, the financial priorities of sport also complicate matters. Westberg recounts an exchange involving Real Madrid president Florentino Pérez during the sale of Casemiro to Manchester United. The message was blunt: a single transfer can generate more revenue than years of marginal gains from new technology. In that context, digital tools can seem secondary to the core business of winning matches and trading players.

But the economics of sport are beginning to shift.

For two decades, the industry has relied heavily on the steady growth of media-rights deals. Broadcast income became the dominant revenue stream for many leagues, often accounting for the majority of their income. That model is now under pressure as audiences fragment across platforms and the pace of rights inflation slows.

Clubs and leagues are therefore being forced to look elsewhere for growth. That means building direct relationships with fans, collecting and analysing first-party data, and developing new digital products that extend beyond traditional broadcast distribution.

The evolving sponsorship market reflects the same trend. Brands are no longer satisfied with simple logo placement or stadium exposure. Sponsors increasingly expect measurable business outcomes and access to targeted audiences. Delivering that requires a deeper understanding of fan data and a more sophisticated commercial strategy.

The turmoil surrounding French football’s media-rights market illustrates the scale of the transition. Ligue 1 has been forced to experiment with direct-to-consumer distribution through its own platform, creating new capabilities that could eventually reshape how the league operates. While the short-term financial impact has been painful, the long-term strategic lessons could prove valuable.

Westberg sees similar potential in the changing ownership landscape. The investment of luxury giant LVMH in Paris FC, for example, highlights how new capital and brand strategy can reshape a club’s identity. For years, Paris FC struggled with weak positioning and limited fan engagement. With the right investor and a clearer narrative, the club now has the opportunity to develop as a local counterpoint to PSG.

Ultimately, Westberg believes sport’s future will belong to organisations that combine technology with identity. Data, platforms and digital infrastructure will become essential tools, but they will only succeed if they reinforce the cultural foundations that make sport unique.

Sport may be becoming more technologically sophisticated, but it remains an industry powered by passion, belonging and human connection. The challenge for clubs and leagues is learning how to turn those qualities into sustainable business models.

 

Five key takeaways

  • Much of the sports industry still operates in analogue ways despite heavy investment in technology.
  • Startups often underestimate how slow and relationship-driven the sports sales cycle can be.
  • The traditional model built around ever-growing media-rights deals is weakening.
  • First-party fan data and direct-to-consumer platforms are becoming central to sports strategy.
  • Clubs that combine strong cultural identity with modern digital infrastructure will have the greatest long-term advantage.

 

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